Amendments to Government Service Insurance Act

Membership compulsory for regularly and permanently appointed employees, judges of Courts of First Instance, fixed-term officials, teachers except substitutes, and Armed Forces regulars.
Optional membership for other government employees, contingent upon written notification, compliance with system requirements, and active government service.
Employer share of premiums may be paid by the employer as empowered.

Contribution shared between employee and employer with specific percentages based on type of insurance and employee category.
- Life Insurance:
  - 1% each (employee and employer) for civilian employees insured from June 16, 1951, to before September 30, 1956 unless reinsured.
  - 3% each for others before or after those dates.
  - 5% employee only for Armed Forces officers and enlisted men.
- Retirement Insurance:
  - 4% employee, 6% employer if salary ≤ P200.
  - 5% each if salary > P200, capped at P37.50 monthly premium.
Employers may request rate reductions based on financial capacity, affecting benefit levels actuarially.
Premium payment timelines specified, with exemptions for certain justices and armed forces personnel from retirement insurance.
Unpaid premiums bear interest not exceeding 6% annually.

Employers must pay additional premiums for service rendered before June 16, 1951.
In cases of officials with multiple employers, previous employers share costs proportionally based on service and salary.
Last employer bears share of non-existing or non-member employers.
Payment terms subject to Board approval and may not be paid in installments without consent.
Board may adopt alternative equitable apportionment methods.

Insurance forms and terms prescribed by the Board.
Civilian employees insured between June 16, 1951, and September 30, 1956, may convert old membership to new types under Board rules.

Automatic life annuity upon retirement, guaranteed minimum five years, payable for life.
Monthly annuity calculated at age 57 with base P20 plus percentages of average last five years' salary:
- 1.6% per year after Act's approval.
- 1.2% per year for service before Act if ≥7 years.
Maximum annuity capped at two-thirds of average salary or P500, whichever less.
Retirement benefits payable no earlier than one year after Act approval.
Optional alternative benefits including joint-life annuities, lump sums, or other Board-approved benefits.
Employers must pay share of premiums upon retirement ahead of other obligations except salaries.

Permanent total disability leads to discharge or retirement depending on years served.
Disability annuity conditions and terms determined by the Board.

Retirement option at 30 years of service and age 57 with continuous last 3 years of service and minimum 5 years of contribution.
Leaves without pay not interrupting continuity provided absence ≤1 year in last 3 years.
Early retirement possible with compensatory increase in age or service years.
Minimum retirement age is 52, minimum service 15 years.
Reappointment after retirement allowed only with special qualifications and medical approval, with annuity suspended during new employment but resumed after.
Salary lower than annuity entitles employee to difference payment.

Employees must reconstruct and submit service records before June 16, 1951, within two years.
Submission supported by certificates, affidavits, and documents.
Failure to submit results in loss of rights related to prior service.
Board may grant extensions up to one year for valid cause.
Certified documents provided free by government agencies.

Authority to issue mortgage insurance on mortgaged properties with the System.
Ability to exclude employees of financially incapable employers from compulsory membership.

Board empowered to appoint general manager, assistant managers, medical director, actuary, and other staff.
General manager holds chief executive role and handles appointments, compensation, discipline, duties, and leaves, subject to Civil Service laws.

Board to invest funds not needed for current payments in:
- First liens on registered real estate in specified cities and municipalities, capped at 60% loan-to-value and 70% of total assets invested.
- Loans to local governments for self-liquidating projects, with secured installment repayments and withholding provisions in case of default.
- Loans to government for permanent toll bridges or similar projects.
- Other loans or investments authorized by applicable laws or Insurance Commissioner approval.

Attorneys and agents cannot charge more than 5% of claim benefits, payable only after benefit receipt.
Retention or deduction of fees from benefit payments is prohibited.
System employees barred from acting as claim agents or attorneys.
Government employees forbidden from charging fees for claim-related services.
Violations subject to fines, imprisonment, disqualification from public office and licensed professions.
Misuse of system funds by treasurers or employees punished by imprisonment, fines, and disqualification.